Moody’s Downgrades Pemex Bonds to Junk With Losses Mounting
- Ratings agency cuts Pemex to second-highest junk rating
- Mexican company is struggling with major debt, weak oil output
Photographer: Cesar Rodriguez/Bloomberg
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Moody’s Investors Service Inc. has downgraded Petroleos Mexicanos’s bonds to junk as sinking oil prices and a fast-spreading pandemic pummeled the beleaguered Mexican driller.
Moody’s cut Pemex’s bonds to the second-highest junk rating Ba2, from Baa3, because of its failure to deliver a viable strategy to stem long-term production declines and its excessive debt burden, it said.